Spending by mainland advertisers surged 22 per cent last year as some Beijing Olympics sponsors kicked off their marketing campaigns, according to a Nielsen Media Research survey. Advertising spending would continue growing in double digits this year as travel agencies, foreign banks and other companies took advantage of government policy favouring their businesses, the researcher said. Spending on the mainland's three main channels - television, magazines and newspapers - reached 380 billion yuan based on the rate card, up from 310 billion yuan in 2005. The television sector accounted for 81 per cent of spending, newspapers 17 per cent and magazines 2 per cent. Magazines led advertising spending growth at 27 per cent, with television close behind at 26 per cent. Spending on newspapers grew only 8 per cent, the poll showed. 'The newspaper sector recorded slower growth in advertising dollars mainly due to the challenge from new media such as the internet and outdoor media that led to a steeper discount in actual spending to the rate card,' said Rita Chan, client service director at Nielsen Media. Some advertisers such as US-based General Electric and courier firm UPS increased marketing on television during last summer's World Cup football tournament and the Olympic Winter Games 'as a herald of their whole marketing projects', said Ms Chan. Dairy product firm Yili Group increased advertising spending 92 per cent as it began its Olympics-related campaign, Nielsen Media said. Yili also appointed Liu Xiang, an Olympic gold medal winner, as company spokesman. Yili spent 20 per cent more on marketing than its competitor Mengniu Dairy, the researcher said. Personal care product giant Procter & Gamble's Olay was the top spender at nearly eight billion yuan, up 20 per cent over 2005. China Mobile, the country's largest mobile-phone service provider, boosted its spending 57 per cent to four billion yuan. Ms Chan said local travel agencies were expected to boost their spending this year with the government encouraging domestic travel during the Lunar New Year and National Day holidays. The opening of the country's financial sector to foreign-owned banks would also stimulate advertising by overseas lenders, she said.
